InvestorQ : Why does Moon Capital want Subhash Chandra to exit from the Zee group entirely?
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Why does Moon Capital want Subhash Chandra to exit from the Zee group entirely?

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2 years ago
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Let me clarify that Moon Capital is not asking Chandra to exit the Zee group but only to exit his holdings in the education arm. It has urged Subhash Chandra to sell his shareholding in his group’s education arm to pave the way for a change in management. This is with reference to Zee Learn only. Moon wants a change in the approach to managing the debt at the group, corporate governance and strategy. Moon Capital has been Zee Learn shareholder since 2015. Subhash Chandra owns nearly 57% in Zee Learn, but most of that is pledged with financiers. Moon Capital also sees shareholder activism gradually catching on in India. It may be recollected that last year, Chandra had sold stake in Zee Entertainment. Chandra is also looking unload some road projects. Moon Capital wants their MD, Shayon Chatterjee to appointed independent director in Zee Learn. While Zee Learn has lost about 70% value since 2017, it has rapidly grown net income since 2015 with its fastest-growing chain of kindergarten to 12th grade schools.

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